Belga

Brussels stock market at highest level in 12 years

It has taken twelve years for the Brussels blue chip index Bel20 to regain the heady heights last experienced before the financial crash of the Noughties. The Bel20 grouping Belgium’s most important shares closed at 4,184 last night, the highest level since November 2007. 

Imaging technology giant Barco and high street bank KBC nudged the index towards its new high. Positive research results from biotech company Galapagos have also steered the Bel20 higher in recent months. Despite economic uncertainty and worries over the coronavirus stocks in Brussels remain buoyant.   The coronavirus is impacting on the Chinese economy and both Barco and KBC expect lower demand in China.

Many investors continue to buy on the dip as few alternatives to stocks are available. Erik Joly, head economist of ABN Amro Private Banking, warns that investors should be aware the value of stocks can drop significantly and only purchase shares as a long-term investment: “We haven’t seen a really big correction for ten years.  This means a correction will materialise sooner or later.”